Title
Consider approving Resolution No. 2024-182 authorizing the City Manager to negotiate and execute a contract with QBE for Medical Stop-Loss Insurance for the plan year 2025 in an amount not to exceed $603,076.92; and take appropriate action.
Body
REQUESTER:
Human Resources Department
BACKGROUND:
Stop-loss insurance is a product that provides protection against catastrophic or unpredictable losses. It is purchased by employers who have decided to self-fund their employee benefits plan but do not want to assume 100% of the liability for losses arising from the plan. Under a stop-loss policy, the insurance company becomes liable for losses that exceed a certain attachment limit called deductibles. The City has an aggregate attachment of $80,000 and a single attachment of $150,000.
DISCUSSION:
The proposed Resolution authorizes the City Manager to negotiate and sign a contract for Medical Stop-Loss Insurance with QBE on behalf of the City for such coverage at a cost not to exceed $603,076.92 for the 2025 plan year.
FISCAL IMPACT:
Budgeted Financial Impact of $603,076.92 budgeted in the FY 24-25 budget.
POSSIBLE COUNCIL ACTION:
1. I move to approve Resolution No. 2024-182 as presented.
2. I move to approve Resolution No. 2024-182, with modifications
3. I move to table the issue for further study or take no action.
ATTACHMENT(S):
1. Resolution No. 2024-182
2. Stop Loss Policy
3. Presentation